Postpaid churn of just 1.11%; data revenues up by 16% over Q4 2012

AT&T has just reported its Q4 2013 financial results where the company as a whole posted $33.2 billion in revenues in Q4, which is up 1.8 percent over last year, and $6.91 billion in net income. We like to focus on the wireless side of things, however, which are more relevant to the Android world.

For its wireless business, AT&T saw operating revenues increase by 4.5 percent year-over-year to $18.44 billion, with a 16 percent bump in data revenues making up a large portion of that growth. Net income still dipped in the quarter, however, due to high expenses — the end result was $3.92 billion in income, down 14.7 percent over Q3 2013 but up 54 percent over Q4 2012.

AT&T still managed to add a total of 556,000 net postpaid customers in the quarter, as well as 440,000 branded net tablet additions. That leaves the carrier with a total of 110.37 million customers, 72.6 million of which are postpaid. The carrier had record-low Q4 churn of 1.11 percent, although it was still several basis points above previous quarters in 2013. Phone-only ARPU was up 3.9 percent year-over-year as well, marking the 20th consecutive quarter that ARPU has increased.

Of the 7.9 million phones sold in the quarter, 93 percent were smartphones. AT&T also says its Next financing program was used for over one million device sales, equivalent to 15 percent of all postpaid smartphone additions and upgrades. A full 77 percent of AT&T's postpaid customers are using smartphones, up from 70 percent in Q4 2012.

Source: AT&T


Reader comments

AT&T Q4 2013 earnings are in: $18.4 billion wireless revenue, 566,000 customer adds


Yes T-mobile is making a splash.
What you have to look at is how many of those 72.6 million post paid subscribers pay attention to intelligent Smartphone sites like this one.
Then you have to look at how many people that actually own a smartphone are tech-savvy.
Then you have to look at how many of those people are confused by all the different pricing schemes of AT&T.
Then you have to look at how many people are eligible to leave their contracts.

And don't say Tmo will pay ETF's, because if your credit isn't top notch you still end up paying half the price of your new Tmo device just to switch.

Posted from my "KNOX-FREE" 4.3 Sprint GS3 Maxx...!!!
(ZeroLemon 7000mah battery)

They are making more than a splash, it's just a matter of time.

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Yep! I'm looking forward to Tmo's Q1 results. No doubt they'll pass 50 million before the end of 2014.

Posted using Android Central App on my Samsung Galaxy S4 T-Mobile

Postpaid churn of just 1.1% is pretty darned good if you ask me.

Even with T-Mo paying your ETF, they aren't seeming to lose many.

I'd post links showing AT&T has the lowest industry churn rate, but the Android Central Death Sentence would kick in.

This is from Q4 2013. T-Mobile began its payment of ETFs after this so it will not show up until the Q1 2014 numbers come out.

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I'm deactivating my AT&T account tomorrow and porting my number to Aio. I'm perfectly willing to sacrifice a little max LTE speed for 7GB of data for $70.

At&t have hit a plateau. Either their plan pricing will change (become more competitively priced and better options for subsidizing phones) or rising companies will gain more ground. There are different factors that go into my thoughts about this, which are too detailed for a simple comment section, but I seriously feel companies like T-Mobile who are rocking the boat will gain major market share in the next year to two years.

And I'm all for it. And this is coming from someone currently using ATT, only because my significant other works for them and gets a 50% employee discount.

Tmo looks more attractive the more I look at our Data Usage app...

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At&t have hit a plateau

Kinda impossible when customers and profits are still on the rise. Plateau means growth has been flat for several quarters.

When I see quarterly statements like this with "data profits" increasing, I want to start a charity fund for that carriers subscribers.

The fact that these statements blatantly tell the carrier investors how much they are raping their subscribers.

These are sickening to see, but still very useful in determining how much lube you'll need on your next upgrade.

Posted from my "KNOX-FREE" 4.3 Sprint GS3 Maxx...!!!
(ZeroLemon 7000mah battery)

I think it's more about customer apathy. Many people complain about service with whichever carrier they are, but only a few switch. Carriers are not going to make many changes if the vast majority.. 1.11% turnover... don't do anything about it.

Well you can point to these massive profits, and suggest they get on with their LTE build out. Its not exactly like they starving for cash.

20th straight increase in ARPU. They see this as a good thing and I for the life of me can't figure out why a customer would think this is positive news. ARPU is average revenue per user. That means the average user has had their bill increase every quarter for the past 5 years! And then they wonder why we keep looking for less expensive options....... smh.

I hate Wall Street.

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I do not think my bill has increased in over 17 years with ATT..under 70 a month grandfathered unlimited and more rollover minutes than I could ever use.

Maybe if you did not hate wall street and invested over the years you would not be concerned about the price monthly of cell service...just a thought. The stock symbol is "T" if you are interested.

Did you ever think it might be because customers are adding more things to their bills? More lines? More features? At&t navigation, roadside assistance, family map?

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Meanwhile Verizon has added almost 2 million customers to their network

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After 16 years with Primeco/Verizon I left and took my Play Store purchased Nexus 5 to T Mobile on a monthly pay plan in November. I chatted online today with AT&T about possibly switching to them yet they really can't beat T-Mobile pricing. They did throw a $200 credit at me just because I'm with TMo, credit applied after 3 months. The competition is good for we consumers. Keeping it monthly keeps the carriers on their toes. Sticking with TMo for now. Can't tell the difference in service vs Verizon where I live, major metropolitan city.

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I moved from my contract att account to T-mobile last week. Got note3 ;)

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I think that some people forget that at&T and Verizon are a business and they are there to make money. Some complain about the price too high, some complain about bad coverage, some complain about the plans; bottom line is we as users will never be satisfied 100%, heck even 90% with our cell carriers :P.

And you forgot that your a consumer. Instead your glorifying a corporation, instead of looking at things from a consumer point of view.

Posted using Android Central App on my Samsung Galaxy S4 T-Mobile

Very true. That is why I hope T-Mobile keeps improving as it means more competition and more options for consumers.

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Not entirely true, consumers just needed to be more educated on how they're getting ripped and if they knew there are better alternatives they would go for it. First is to get around the concept of subsidization.